EQS-News: grenke achieves target with more than EUR 3 billion in lea-sing new business for 2024

• Leasing new business increases 18.4% in 2024 compared to the prior year to almost
  EUR 3.1 billion (2023: EUR 2.6 billion)
• Contribution margin 2 (CM2) grows 21.6% to EUR 518.5 million (2023: EUR 426.3 million)
• CM2 margin rises sharply to 17.0% (2023: 16.5%), slightly exceeding target

Baden-Baden, January 8, 2025: With the continued success in new business in the fourth quarter of 2024, grenke AG, a global financing partner for small and medium-sized enterprises, achieved its ambitious full-year target in new leasing business (EUR 3.0 to 3.2 billion). In the 2024 financial year, grenke increased its leasing new business by 18.4% to EUR 3,057.0 million (2023: EUR 2,581.3 million). At the same time, the contribution margin 2 (CM2) – a key measure of profitability – grew 21.6% year-on-year, reaching EUR 518.5 million (2023: EUR 426.3 million). As a result, the CM2 margin also increased year-on-year, reaching 17.0% (2023: 16.5%), exceeding the full-year target.

Dr. Sebastian Hirsch, CEO of grenke AG: “Despite all of the macroeconomic challenges, we surpassed the EUR 3 billion threshold for leasing new business in 2024, marking the first time in our company's history. This milestone represents a significant step on our ambitious growth path. We are proud to have reached this new level and will carry this momentum into 2025.”

Dr. Martin Paal, CFO of grenke AG: “We are particularly pleased with our margin development. This year’s strong average CM2 margin of 17% we are fully on track. Particularly in the final quarter, we were able to significantly increase our CM2 margin to 17.4%, despite the strong growth in volume. This performance lays a solid foundation for our earnings growth in 2025, which will continue to be shaped by risk provisions around our historical average level.”

In the fourth quarter of 2024, grenke increased its leasing new business by 17.6% year-over-year to EUR 858.4 million (Q4 2023: EUR 729.7 million). The contribution margin 2 (CM2) increased 27.3% year-on-year to EUR 149.2 million (Q4 2023: EUR 117.2 million), resulting in a CM2 margin of 17.4% (Q4 2023: 16.1%).

Growth achieved across the entire portfolio – continued expansion in reseller network

grenke recorded growth across all object categories in the fourth quarter of 2024. The machinery and equipment category showed above-average growth, accounting for 16.4% of all new leasing contracts (Q4 2023: 15.4%). The segment’s key growth drivers included industrial machinery, workshop equipment and office and hospitality installations. By the end of the fourth quarter of 2024, grenke had further expanded its international sales network to 39.4 thousand specialist reseller partners (Q4 2023: 36.2 thousand). The share of the total leasing new business stemming from the direct sales channel remained unchanged at 17.1% in the fourth quarter (Q4 2023: 17.1%).

Strongest region is Western Europe

The strongest region in the fourth quarter of 2024 was Western Europe (without DACH), recording 11.3% growth to EUR 224.2 million (Q4 2023: EUR 201.5 million) and contributing 26.1% to the total leasing new business. Within this region, France accounted for the largest share, at 19.8% of total leasing new business. The Southern Europe region ranked second, with a 16.1% year-over-year increase in leasing new business based on a volume of EUR 200.8 million (Q4 2023: EUR 173.0 million). Leading this region was Italy, which contributed 13.6% of total leasing new business. The DACH region ranked third in terms of volume, with an increase of 22.0% to EUR 194.4 million (Q4 2023: EUR 159.4 million). Within the DACH region, Germany remained the largest market, accounting for 18.3% of the total new business volume.

The Northern/Eastern Europe region posted 21.0% growth, reaching a volume of EUR 182.7 million (Q4 2023: EUR 150.9 million). The Other regions category achieved 25.5% growth for a total of
EUR 56.3 million (Q4 2023: EUR 44.9 million). This category includes the future markets USA, Canada and Australia.

Growing demand for leasing

Leasing solutions to finance investments and optimise liquidity remain in high demand internationally. In the fourth quarter of 2024, grenke recorded a 9% increase in lease applications to approximately 160,000 (Q4 2023: around 146,000). Around 81,000 new lease contracts were concluded, compared to around 75,000 in the previous year, for a rise of around 7%. The conversion rate equaled 50.4% and was slightly lower year-on-year (Q4 2023: 51.6%). The average ticket size was EUR 10,638 (Q4 2023: EUR 9,676).

Higher deposits at grenke Bank

As of December 31, 2024, the deposit business amounted to EUR 2,230.6 million, reflecting a year-on-year increase of 37.7% (as of December 31, 2023: EUR 1,619.4 million).

The factoring business held for sale posted a 1.8% increase in the fourth quarter of 2024, amounting to new business volume of EUR 234.6 million (Q4 2023: EUR 230.5 million). grenke Bank’s lending new business, which largely consists of the microcredit business, equaled EUR 10.5 million for the fourth quarter (Q4 2023: EUR 11.6 million).

An interview with our Board of Directors and further details on the new business figures for 2024 are available here.

This and other updates are also available on grenke AG’s LinkedIn page.

The annual report for the 2024 financial year will be published on March 13, 2025.

Overview of new business (in EUR millions)

	Q4 2024	Q4 2023	∆ in %	2024	2023	∆ in %
Leasing new business	858.4	729.7	17.6	3,057.0	2,581.3	18.4
DACH	194.4	159.4	22.0	705.1	625.3	12.8
Western Europe without DACH	224.2	201.5	11.3	784.4	683.5	14.8
Southern Europe	200.8	173.0	16.1	732.0	595.7	22.9
Northern/Eastern Europe	182.7	150.9	21.0	640.8	524.7	22.1
Other regions	56.3	44.9	25.5	194.8	152.0	28.1
Contribution margin 2 (CM2) for leasing new business
	149.2	117.2	27.3	518.5	426.3	21.6
DACH	27.4	20.4	34.4	95.2	80.9	17.7
Western Europe without DACH	41.0	33.1	24.0	139.8	117.4	19.0
Southern Europe	34.7	27.8	24.8	123.8	102.5	20.8
Northern/Eastern Europe	34.4	26.4	30.1	117.6	93.7	25.5
Other regions	11.6	9.5	22.7	42.2	31.9	32.4
CM2 margin (in %)	17.4	16.1	1.3pp	17.0	16.5	0.5pp
Factoring new business	234.6	230.5	1.8	910.4	838.6	8.6
DACH	76.1	73.1	4.2	297.1	295.6	0.5
Northern/Eastern Europe	96.9	100.4	-3.5	377.1	360.0	4.8
Southern Europe	61.6	57.0	8.1	236.2	183.0	29.0
grenke Bank
Lending new business	10.5	11.6	-9.8	37.8	45.0	-16.1

Leasing regions: DACH: Austria, Germany, Switzerland

Western Europe without DACH: Belgium, France, Luxembourg, Netherlands

  Southern Europe: Croatia, Italy, Malta, Portugal, Slovenia, Spain

Northern | Eastern Europe: Denmark, Finland, Ireland, Latvia, Norway, Sweden, UK | Czechia, Hungary, Poland, Romania, Slovakia

  Other regions: Australia, Brazil, Canada, Chile, Turkey*, UAE, USA

*Leasing new business was discontinued in 2023.

Factoring regions: DACH: Germany, Switzerland

  Northern | Eastern Europe: Hungary, Ireland, Poland, UK

  Southern Europe: Italy, Portugal

grenke announced its intention to sell the factoring companies on January 31, 2024.

About grenke
The grenke Group (grenke) is a global financing partner for small and medium-sized companies. As a one-stop shop for customers, grenke’s products range from flexible small-ticket leasing and demand-driven bank products to convenient factoring. Fast and easy processing and personal contact with customers and partners are at the centre of grenke’s activities. Founded in 1978 in Baden-Baden, the Group operates in more than 30 countries and employs approximately 2,200 staff (measured in terms of full-time equivalents) worldwide. grenke shares are listed on the Frankfurt Stock Exchange (ISIN DE000A161N30).